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North Lincolnshire-headquartered agricultural machinery dealership group Peacock and Binnington saw sales slow slightly in 2021 as Covid’s impact continued to be felt.

Early year lockdown and long-running supply chain issues brought a two-pronged challenge, limiting face-to-face customer sales and then causing delivery delays, as cross-industry supply chain issues dominated. It came as demand for tractors and other farm machinery was heightened by the pressures on wheat caused by the Russian invasion of Ukraine, with the region it operates from classed as the º£½ÇÊÓƵ’s breadbasket.

Turnover fell slightly from a record £68.7 million in 2020 to £65.6 million for the calendar-aligned financial year, a 4.6 per cent drop. Operating profit fell from £1.2 million to £816,354.

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To insulate itself the 128-year-old Brigg-based business invested more heavily in stock, while adding a sixth dealership in late October , widening the firm’s footprint into North Yorkshire.

In his strategic report accompanying the recently filed results, director Nicholas Peacock said: “Demand for machines remains strong due to sustained high arable prices, in particular wheat. These are important for the regional farming industry, who form our predominant customer base. Farmers continue to order new machines as certainty has been provided on the future levels of subsidies.

“Market conditions have fluctuated in 2021. In spite of Covid-19 lockdowns being eased, supply chain problems persist with supply of machines not matching demand. Company performance, however, remains in line with expectation and the directors are pleased with the company’s resilience and remain confident about longer term prospects.”

Mr Peacock said strong relationships with clients and high quality customer service remained key for a business where company fortunes are tied to those of the farming sector.